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Table Of Contents 
Table Of Contents.....................................................1 
Team Apollo..............................................................2 
Introduction...............................................................3 
Philosophy Statement.................................................4 
Executive Summary...................................................5 
Business and Communication Objectives..................6 
Macro Environmental Analysis..................................7 
SWOT Analysis..........................................................8 
Competitive Analysis..................................................9 
Discovery Process.....................................................10 
Positioning................................................................11 
Primary Target Market............................................12 
Secondary Target Market........................................13 
Brand Character......................................................14 
Branding Options....................................................15 
Key Message............................................................16 
Our Story.................................................................17 
Owned Marketing: Website.....................................18 
Owned Marketing: Facebook...................................19 
Earned Marketing: HTF..........................................20 
Earned Marketing: Guerilla Marketing Facebook...21 
Paid Marketing: Guerilla Marketing Flyers.............22 
QR Reader...............................................................23 
Paid Marketing: Google Paid Search.......................24 
Paid Marketing: WDIO...........................................25 
Paid Marketing: HTF Ads.......................................26 
Paid Marketing: Marketing Intern...........................27 
Paid Marketing: Videography..................................28 
Paid Marketing: Graphic Design.............................29 
Decision Continuum................................................30 
Timeline...................................................................31 
Budget......................................................................32 
Measurement/Evaluation........................................33 
Bibliography.............................................................34 
Bibliography.............................................................35 
Bibliography.............................................................36 
Bibliography.............................................................37 
Bibliography.............................................................38 
Bibliography.............................................................39 
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Matthew Pettinelli 
Steven Popowitz 
Phillip Connell 
Team Apollo 
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Introduction 
Thank you John Kratz for guiding us through this process. 
Thanks to Charlie and Richard for all your help and real life experience, 
Jim Vileta for research direction, 
also CED Shannon Benolken and Sandi Larson for the professional help. 
Prepared with the assistance from the UMD Center for Economic Development and the Labovitz School of Business and Economics. 
May 6th, 2014 4:30 PM 
Matthew Pettinelli, Steven Popowitz, Phillip Connell 
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Philosophy Statement 
“The passion for success sparks the fire for break-through in creative promotion. This passion drives dreamers and visionaries to create something better than what currently exists. Along with seamless use of marketing concepts and the willingness to break industry norms, by daring to be innovative, this passion is needed for success in today’s industry.”- Team Apollo 
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Executive Summary 
Integrated Marketing Communications Plan is a marketing approach of consistent brand messaging covering all the promotional tools, traditional and non-traditional, needed for the successful execution of a business and communications plan. Each tool reinforces the other to build a strong plan and brand message that remains steady through the entire process. Our Integrated Communications Plan for Grand Log Homes will help to promote the business by educating potential customers, creating awareness of the brand, and by integrating the use of social media. The findings from our work presented us with primary and secondary audiences to focus our promotion on, tactical promotional tools to use, and a positioning strategy that will benefit Grand Log Homes. All of our communication strategies, tactics, and recommendations work together to promote the consistent brand message for Grand Log Homes, which will lead to higher sales and brand equity. 
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Business and Communication Objectives 
Business Objectives: 
- Generate sales revenue 
- Investigate potential inspection & maintenance program 
- Drive traffic to website 
Communication Objectives: 
Educate and inform potential clients of: 
- GRAND Log patent 
- Integrated Massive Scale (IMS) 
- 60+ years industry experience 
- Create product & service awareness 
- Integrate social media 
- After sales service program insights 
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Macro Environmental Analysis 
Macro 
Environment 
Sector 
+ 
Effect 
-­‐ 
Effect 
Reasoning 
Demographic 
1) Rising 
level 
of 
affluence 
2) Increasing 
Urban 
population 
3) Aging 
population 
✔ 
✔ 
✔ 
1) Greater 
income 
per 
capita 
creates 
larger 
disposable 
income 
for 
more 
expensive 
and 
aesthetically 
pleasing 
homes. 
2) Rising 
proportion 
of 
the 
world’s 
population 
living 
in 
Urban 
vs. 
Rural, 
log 
homes 
don’t 
fit 
in 
an 
urban 
setting. 
3) Older 
individuals 
fall 
into 
our 
target 
audience 
and 
have 
higher 
disposable 
income 
to 
buy, 
own, 
and 
remodel 
a 
home. 
Socio-­‐Cultural 
1) Increasing 
environmental 
awareness 
2) Increasing 
demand 
aesthetically 
pleasing 
and 
unique 
products 
✔ ✔ 
1) Creates 
demand 
for 
high-­‐energy 
efficiency 
homes. 
2) Increases 
consumer 
value 
through 
authenticity. 
Political/Legal 
1) Increasing 
energy 
incentives 
✔ 
1) Residential 
Energy 
Property 
Credit 
(Section 
1121): 
Increased 
energy 
tax 
credit 
for 
homeowners 
who 
make 
efficient 
improvements 
to 
their 
existing 
home. 
Technological 
1) Increasing 
design 
options 
2) Increasing 
demand 
for 
synthetic 
and 
substitute 
siding 
3) Increasing 
production 
management 
technologies: 
Lean 
Production, 
Six 
Sigma.. 
✔ 
✔ 
✔ 
1) Hybrid 
log 
homes 
combine 
more 
creative 
mediums 
and 
offer 
flexibility. 
2) Substitute 
products 
are 
cheap 
and 
easy 
to 
maintain. 
3) Creates 
more 
efficient 
ways 
to 
produce 
sourced 
goods 
reducing 
waste 
and 
costs. 
Economic 
1) Declining 
mortgage 
rates 
2) Increasing 
lumber 
prices 
3) Rising 
construction 
costs 
✔ 
✔ ✔ 
1) Individuals 
can 
finance 
housing 
for 
less. 
. 
2) Scarce 
natural 
sourcing 
prices 
are 
increasing. 
3) Diverts 
people 
away 
from 
building 
and 
remodeling. 
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SWOT Analysis 
Strengths 
Weaknesses 
Distinctive 
Competencies: 
• Differentiated 
product 
mix 
• Product 
value 
enhancement 
Core 
Competencies: 
• Research 
and 
Design: 
IMS 
technology 
and 
patent 
• Service 
and 
experience: 
30 
years 
of 
industry 
knowledge 
• Lack 
of 
production 
capacity 
• Narrow 
market 
segment 
Opportunities 
Threats 
• Rising 
level 
of 
affluence 
• Aging 
population 
• Increasing 
environmental 
awareness 
• Increasing 
demand 
for 
aesthetically 
pleasing 
and 
unique 
products 
• Increasing 
energy 
incentives 
• Increasing 
design 
options 
• Decreasing 
mortgage 
rates 
• Increasing 
urban 
population 
and 
decreasing 
rural 
population 
• Increasing 
demand 
for 
synthetic 
and 
substitute 
siding 
• Increasing 
lumber 
prices 
• Rising 
construction 
costs 
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Competitive Analysis 
Company: Northwoods Log Homes 
Tagline: The Original Northwoods Tradition. 
Key Messages: Good quality because it’s family tradition. 
Positioning: Quality full log homes. 
Company: Pine Ridge Handcrafted Log Homes 
Tagline: Our Passion is Handcrafted into Your Log Home. 
Key Messages: Select each log by hand and rebuild at your building location. 
Positioning: Unique and portable homes from a small company. 
Company: Wisconsin Log Homes 
Tagline: Bringing you Home, Naturally. 
Key Messages: Extremely customizable homes of the highest quality. 
Positioning: Highest price for the highest quality (premium and authentic). 
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Discovery Process 
Opportunity 
Core 
Competency 
Consumer 
Insights 
Current 
Equity 
Business 
Dynamics 
Core Strengths: Patented Log home siding researchers and engineers with 30 years of industry experience in design and service. 
Insights: -Log homes are high maintenance -Log homes are expensive -Log homes are inefficient Consumer Perception: -Log homebuilders. Dynamics: Cheap standardized and commercialized siding is prevailing throughout our society. On the opposite end, customized and rare materials are used for high-end siding. Opportunity: Log siding after sales service and log siding instead of traditional log home building. The resources and experience enabling them to make any building look like a log building. GrandLogHomesFINALFINAL.indd 10 5/1/14 12:02 PM
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Positioning 
What are we really selling? 
An entirely new lifestyle. 
Who? 
Grand Log Homes. 
What? 
The next generation hybrid log home specialists. 
For whom? 
Technology oriented, upper class homeowners. 
What need? 
Rustic and unique looking home styles. 
Against whom? 
Log home producers and siding specialists. 
What’s different? 
Grand Log Homes provides fully customizable and technologically advanced hybrid log home products and services. 
So: 
Grand Log Homes empowers any home owner to transform their home into a log home. 
Grand Log Homes is able to upgrade the look of any house into an upper class log home without the lofty expenses and maintenance of traditional full log architecture. They give the customer the freedom to take their current home and transform it into their dream log home. Cheaper and more convenient than full log architecture, yet much more authentic than other log siding and wood siding products, Grand Log Homes can position themselves as the sole producer of authentic looking log homes at lower prices. 
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Primary Target Market 
Geographic: 
Region: Midwest 
City Size: Under 10,000, 10,000- 24,999, 50,000-99,999 
Metropolitan Area: Twin Ports 
Density: Suburban, Small Town, Rural 
Demographic: 
Gender: Female, Male as influencer. 
Age: 45-54, 55-64 
Race: Caucasian 
Life Stage: Adult 
Birth Era: Baby boomer (1946-1964) 
Household Size: 2 
Residence Tenure: Own home 
Marital Status: Married 
Socioeconomic: 
Income: $75,000-$99,999, $100,000+ 
Education: Undergraduate, Masters, Doctorate 
Occupation: Managers, Engineers, Vice President, Business Owners, and Teachers 
Psychographic: 
Personality: Gregarious, Ambitious. 
Values: Family, Friends, Honesty. 
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Secondary Target Market 
Geographic: 
Region: Midwest 
City Size: Under 10,000, 10,000- 24,999, 50,000-99,999 
Metropolitan Area: Twin Ports 
Density: Suburban, Small Town, Rural 
Demographic: 
Gender: Male 
Age: 45-54, 65-74 
Race: Caucasian 
Life Stage: Adult, Senior 
Birth Era: Baby boomer (1946-1964), 
Traditional (1922-1945) 
Household Size: 2, 1-2 
Residence Tenure: Own home 
Marital Status: Married, Widowed 
Socioeconomic: 
Income: $75,000-$99,999, 401K 
Education: Undergraduate, Masters, Doctorate 
Occupation: Contractor, Retirees 
Psychographic: 
Personality: Gregarious, Ambitious 
Values: Family, Friends, Honesty 
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Brand Character 
Grand Log Homes is a technologically savvy and sophisticated spin on all the rudimentary characteristics of the original log home. Rustic, authentic, original, humble, cozy, serene, yet intellectual, cutting edge, and revolutionary all come to mind when you think of Grand Log Homes. 
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Branding Options 
Grand Log Homes 
Grand Log Homes 
Grand Log Homes 
Grand Log Homes 
Grand Log Homes 
Grand Log Homes 
Grand Log Homes 
Grand Log Homes 
Grand Log Homes 
Grand Log Homes 
Suggested Colors 
Suggested Logos 
Other Logo Examples 
Suggested Text 
Grand Log Homes 
Bakersville 
Palatino 
C: 50 M: 69 Y: 84 K: 67 
C: 15 M: 100 Y: 100 K: 75 
C: 94 M: 83 Y: 48 K: 58 
C: 72 M: 42 Y: 100 K: 36 
C: 5 M: 5 Y: 31 K: 0 
C: 32 M: 13 Y: 0 K: 0Grand Log Homes 
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Key Message 
What? 
Hybrid log home company. 
How? 
60 + years of log home experience. 
IMS design philosophy. 
Grand Log siding patent. 
150+ successful previous installations. 
Why? 
Our mission is to deliver the look and feel of a handcrafted log home without the price tag. 
We believe in making our vision of the perfect log home into your reality. 
We want to make our passion of constructing the best log home possible into your dream home. 
Possible Taglines: 
Grand Log Homes, we can turn any home, into a Log Home. 
Turn any home into a log home with, Grand Log Homes. 
Grand Log Homes, live in your dream getaway, everyday. 
Why? 
How? 
What? 
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Our Story 
We have fond memories of bolting out of dad’s car in the early 60’s as proud, pint-sized members of his sacred annual fishing trip to Bowstring Lake in Itasca County, Minnesota. It was the very first time we had ever seen a log structure, and it was love at first sight. Over time, we kept thinking that there must be a more environmentally-correct way to build a log home. That burning desire came to fruition in 1993, when we patented the world’s first veneered foam-core (VFC) log siding product. In 2003, after completing more than 150 successful North American VFC Log installations, disaster struck. This disaster cost us our company and shattered our future expectations. But through disaster came opportunity and we were driven to change the industry once again. In 2013, after years of research and design, we created the Grand Log. This innovative new product, along with our IMS (Integrated Massive Scale) design philosophy, are the backbone of our new company, Grand Log Homes. 
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Owned Marketing: Website 
How? 
-Must be web, mobile, and tablet com-patible. 
-Tell your story in a narrative, as a video 
on the home page. 
-Simple scrolling interface for less click-ing. 
-Use the 7 plus or minus 2 two rule: 
“The Magical Number Seven, Plus or 
Minus Two: Some Limits on Our Capac-ity 
for Processing Information” is one of 
the most highly cited papers in psychol-ogy. 
-Outsource web design to professionals. 
Why? 
Educate the public. It will be the “hub” 
for people seeking information and the 
primary place to lead potential buyers. 
An attractive website keeps the consum-er’s 
attention and a well designed page 
makes it easy for the consumer to contact 
the company. Andersen Windows is a 
great example of a company that does 
new home installation as well as remod-eling 
and has great web design. 
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Owned Marketing: Facebook 
Why? 
80% of US social network users prefer to 
connect with brands through Facebook. 
Facebook Demographics: 
845 million active users 
57% female 
46% are age 45+ 
81% have some college education or more 
58% have individual income of $50,000-$100,000+ 
How to be effective? 
Tell your story! 
Schedule your weekly updates. 
Use Facebook Insights to discover audience trends. 
Think outside the box through Facebook contests. 
Use images and video for your content updates. 
Don’t sell, interact and educate about product and services. 
Engage with your Facebook community. 
Engage with other Facebook pages. 
Post influencers content. 
Use the @ feature to tag fans or customers for personal touch. 
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Earned Marketing: HTF 
How? 
Earn a story in Hometown Focus by talking to: 
Jean Cole, Editor, at jeanc@hometownfocus.us 
Jeff Asbach, CEO and Co-founder, at jeffa@hometownfocus.us 
Why? 
They are the first community driven website and publication in the state of Minnesota and are the winners of the 2009 Joel Labovitz Entrepreneurial Vision Award. This grassroots magazine will lead to over 150,000 impressions per week from viewers and readers located directly in the heart of the Iron Range. It has 500 distribution outlets including gas stations, grocery stores, local businesses and an abundance of other high traffic areas along Highway 53, Highway 169, and other central routes for tourists, cabin goers, and locals whom enjoy the outdoors. 
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Earned Marketing: Guerilla Marketing Facebook 
1. Use Your Imagination. 
Guerilla marketing is about the unconventional. 
2. Go Big or Go Home. 
Big doesn’t have to mean expensive – be memorable to get people talking. 
3. Let Your Audience Do the Talking. 
Authentic word-of-mouth is the best form of publicity. Devise your plan, carry it out and then step back and let your audience do the rest of the work. 
Proposal: 
Construct a large scale dog house with all aspects of IMS and Grand Log siding to highlight Grand Log Homes product and services of turning any home into a log home. Take a picture with a dog in it and another with a mans legs sticking out. The picture of the dog in the Grand Log dog home is to appeal to our target market of female baby boomers. The other is to appeal to the male influencers. “If you get put in the dog house at least you’ll be warm!” is a suggested subheading. The two pictures will have the tag line of “Turn any home, into a log home!” and contest details in the post saying like, share, and comment for your chance to win Grand Log Home’s hybrid log dog home. 
Why? 
Through primary and secondary research we found that family was one of the most important aspects of log home consumers lives. In 2011 national survey, 63.2%, considered their pets to be family members. There are approximately 70 million pet dogs in the U.S. and 56.7 million households own a dog. This idea will create internet buzz with a large demographic segment leading to more awareness. 
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Paid Marketing: Guerilla Marketing Flyers 
Turn ANY home, into a log home! 
| www.grandloghomes.com 
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Guerilla Strategy Placement: 
UMD 
Canal Park 
Hampton Inn 
Canal Park Inn 
Duluth Pack 
I Love Duluth Store 
DeWitt Seitz Building 
Lake Avenue Cafe 
Vertical Endeavors 
Fitgers Complex 
Trail Fitters 
Park Point Marina Inn 
Barkers Island Marina 
Lakehead Boat Basin 
Spirit Lake Marina 
Harbor Cove Marina 
North Shore Docks & Lifts 
We also recommend other places in 
Northern Minnesota that attract affluent 
baby boomers within our target segment. 
Why? 
3.5 million tourist travel through Duluth 
each year, mainly in the summer. Canal 
Park is one of the most visited places. 
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QR Reader 
Reduce Lead time by integrating QR Readers on all flyers and print advertising. These easy to create symbols allow mobile consumers to scan and directly go to the Grand Log Homes website. These should be put on all print advertisements. 
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Paid Marketing: Google Paid Search 
Why? 
60% of all organic clicks go to the top three organic search results. Google Search is the most used search engine on the World Wide Web, handling more than three billion searches each day. Get in the local listings on Google (this is free) because 71% of all online searches are related to local businesses. 
Google AdWords: 
Google AdWords is a pay per click advertising that increases website visibility through the Google’s search engine. 
Use sample keywords such as: Log Homes, half log siding, cabins and new homes. 
Tool/Measure: 
Google analytics will help the company keep track of their online presence. With this tool they can track many aspects of their business from how many people are on their google page, to finding what keywords are attracting people to your site. Also this tool is completely free as long as your website does not generate more than 10 million hits per month. 
You! 
Your 
Competition! 
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Paid Marketing: WDIO 
Sponsored advertising during the Sunday night weather is a great way to reach the target audience. Sponsored advertising includes a billboard with the client’s sell line and logo, followed by a :30 commercial unit. Each commercial is estimated to reach 20,000 viewers. In the wretched drawn out late winter months and early spring months, consumers will be eagerly awaiting forecasts wishing they were in a Grand Log Home. 
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Paid Marketing: HTF Ads 
How? 
Tylor Asbach, Creative Sales & Service, at tylora@hometownfocus.us 
Why? 
Consistent impressions in the local mediums such as HTF will lead to recognition amount people who care and support local business. This medium also allows for expansion into multi media marketing. 
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Paid Marketing: Marketing Intern 
Why? 
A marketing intern can help with all aspects of social media, public relations, and marketing in general. 
Requirements: 
200 hours 
Paid, recommended $10-$15/hr. 
Official placement agreement 
How? 
Duane Cass, Intern Director, 
dkaas@d.umn.edu 
UMD’s GoldPASS, goldpass.umn.edu 
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Paid Marketing: Videography 
Hunter Gulan 
Why? 
Graphic Design and Marketing student at UMD. 
Owner and photographer of H. Emerson Galleries. 
Earned a competitive film and editing internship at YoBeat which is one of the 
snowboarding industry’s largest sites. 
Originally from the Iron Range, he produces world class commercials and films at a 
fraction of the price. 
Portfolios: 
http://www.emersongalleries.com/ 
http://vimeo.com/hemersonimagery 
Contact: 
(218)-404-0282 
gula0024@d.umn.edu 
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Paid Marketing: Graphic Design 
Dusty Fore 
Why? 
Graphic Design student at UMD. 
Owner, designer, and operator of Oscar Grizzi clothing. 
Does professional branding, logo design, flyers, brochures for a fraction of the cost. 
Portfolio 
http://oscargrizzi.com/ 
Contact: 
(320)-336-9135 
forex015@d.umn.edu 
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Awareness 
Create 
Intrigue 
Seek 
Information 
Become a 
Lead 
Purchase 
Affirmation 
Decision Continuum 
Awareness: This is a major focus of our communication plan for Grand Log Homes. In order for people to ever want to purchase the product, they need to first know it exists. We plan to do this by advertising with WDIO, Hometown Focus magazine, flyers, and Facebook. 
Create Intrigue: After people become aware of Grand Log Homes, they need to be intrigued to learn more about the company. We will create this intrigue by using videography, log home doghouse giveaways on Facebook, and professional graphics. 
Seek Information: The intrigue will cause consumers to seek out additional Information about Grand Log Homes. The Grand Log Homes website will be the ‘hub’ for information and we recommend Google AdWords, search engine optimization, and QR code readers to make finding the website quick and easy as possible. 
Become a Lead: This step is where consumers are starting to interact with Grand Log Homes. With encouragement to interact on the Grand Log Homes website, people will start contacting by emailing, phone, or Facebook. 
Purchase: This is where the consumer will make the purchase from Grand Log Homes. Buyers reach this stage if the previous four stages have been successfully accomplished. 
Affirmation: We want customers to pay for the Grand Log Homes after sale service and to feel good about their purchase. We recommend encouraging customers to share photos of their newly built log homes on the Grand Log Homes Facebook page and to stay in contact with the customers. 
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Timeline 
January 
February 
March 
April 
May 
June 
July 
August 
Sept. 
Oct. 
Dec. 
Nov. 
Website 
Facebook 
HTF Ad 
HTF Story 
WDIO 
Intern 
Ad Words 
Creative Design 
Flyers 
Videography 
Dog Houses 
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Budget 
Website $20,000 
Doghouses $2,000 
Google AdWords $7,500 
Flyers $2,000 
HTF Ad $12,760 
Videography $3,500 
Creative Design $3,500 
Intern $4,000 
WDIO $6,825 
Total Marketing Expense $62,085 
Remaining $1,915 
The remaining portion of the budget is a flexible buffer to allow allocation to the most effective marketing medium. 
WDIO 
Intern 
Creative Design 
Videography 
HTF Ad 
Flyers 
Google AdWords 
Doghouses 
Website 
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Measurement/Evaluation 
Website $20,000 
Doghouses $2,000 
Google AdWords $7,500 
Flyers $2,000 
HTF Ad $12,760 
Videography $3,500 
Creative Design $3,500 
Intern $4,000 
WDIO $6,825 
Total Marketing Expense $62,085 
Remaining $1,915 
Doghouses 10,000 Likes x100 Views/Like = 100,000 
Flyers 2,000 Flyers x 100 Views/Flyer = 200,000 
HTF Ad 26 Weeks Ads x 8,100 Copies = 210,600 
WDIO 13 Weeks Ads x 20,000 Views/Ad= 260,000 
Total Impressions = 770,600 
Total Marketing Expense/Estimates Impressions= $62,085/770,600= $0.080567091/Impression 
Google Analytics: will be the main tool of measuring Google search and finding what keywords are attracting people to your site. 
Facebook Insights: will let you know what is the best time to post, what is working in your posts, amongst other valuable information. 
Unique IP address to Grand Log Homes: will be the main way of tracking overall marketing effectiveness since this is the primary means of becoming a lead. 
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UMD Student to Business Initiative

  • 1. 1 Table Of Contents Table Of Contents.....................................................1 Team Apollo..............................................................2 Introduction...............................................................3 Philosophy Statement.................................................4 Executive Summary...................................................5 Business and Communication Objectives..................6 Macro Environmental Analysis..................................7 SWOT Analysis..........................................................8 Competitive Analysis..................................................9 Discovery Process.....................................................10 Positioning................................................................11 Primary Target Market............................................12 Secondary Target Market........................................13 Brand Character......................................................14 Branding Options....................................................15 Key Message............................................................16 Our Story.................................................................17 Owned Marketing: Website.....................................18 Owned Marketing: Facebook...................................19 Earned Marketing: HTF..........................................20 Earned Marketing: Guerilla Marketing Facebook...21 Paid Marketing: Guerilla Marketing Flyers.............22 QR Reader...............................................................23 Paid Marketing: Google Paid Search.......................24 Paid Marketing: WDIO...........................................25 Paid Marketing: HTF Ads.......................................26 Paid Marketing: Marketing Intern...........................27 Paid Marketing: Videography..................................28 Paid Marketing: Graphic Design.............................29 Decision Continuum................................................30 Timeline...................................................................31 Budget......................................................................32 Measurement/Evaluation........................................33 Bibliography.............................................................34 Bibliography.............................................................35 Bibliography.............................................................36 Bibliography.............................................................37 Bibliography.............................................................38 Bibliography.............................................................39 GrandLogHomesFINALFINAL.indd 1 5/1/14 12:02 PM
  • 2. 2 Matthew Pettinelli Steven Popowitz Phillip Connell Team Apollo GrandLogHomesFINALFINAL.indd 2 5/1/14 12:02 PM
  • 3. 3 Introduction Thank you John Kratz for guiding us through this process. Thanks to Charlie and Richard for all your help and real life experience, Jim Vileta for research direction, also CED Shannon Benolken and Sandi Larson for the professional help. Prepared with the assistance from the UMD Center for Economic Development and the Labovitz School of Business and Economics. May 6th, 2014 4:30 PM Matthew Pettinelli, Steven Popowitz, Phillip Connell GrandLogHomesFINALFINAL.indd 3 5/1/14 12:02 PM
  • 4. 4 Philosophy Statement “The passion for success sparks the fire for break-through in creative promotion. This passion drives dreamers and visionaries to create something better than what currently exists. Along with seamless use of marketing concepts and the willingness to break industry norms, by daring to be innovative, this passion is needed for success in today’s industry.”- Team Apollo GrandLogHomesFINALFINAL.indd 4 5/1/14 12:02 PM
  • 5. 5 Executive Summary Integrated Marketing Communications Plan is a marketing approach of consistent brand messaging covering all the promotional tools, traditional and non-traditional, needed for the successful execution of a business and communications plan. Each tool reinforces the other to build a strong plan and brand message that remains steady through the entire process. Our Integrated Communications Plan for Grand Log Homes will help to promote the business by educating potential customers, creating awareness of the brand, and by integrating the use of social media. The findings from our work presented us with primary and secondary audiences to focus our promotion on, tactical promotional tools to use, and a positioning strategy that will benefit Grand Log Homes. All of our communication strategies, tactics, and recommendations work together to promote the consistent brand message for Grand Log Homes, which will lead to higher sales and brand equity. GrandLogHomesFINALFINAL.indd 5 5/1/14 12:02 PM
  • 6. 6 Business and Communication Objectives Business Objectives: - Generate sales revenue - Investigate potential inspection & maintenance program - Drive traffic to website Communication Objectives: Educate and inform potential clients of: - GRAND Log patent - Integrated Massive Scale (IMS) - 60+ years industry experience - Create product & service awareness - Integrate social media - After sales service program insights GrandLogHomesFINALFINAL.indd 6 5/1/14 12:02 PM
  • 7. 7 Macro Environmental Analysis Macro Environment Sector + Effect -­‐ Effect Reasoning Demographic 1) Rising level of affluence 2) Increasing Urban population 3) Aging population ✔ ✔ ✔ 1) Greater income per capita creates larger disposable income for more expensive and aesthetically pleasing homes. 2) Rising proportion of the world’s population living in Urban vs. Rural, log homes don’t fit in an urban setting. 3) Older individuals fall into our target audience and have higher disposable income to buy, own, and remodel a home. Socio-­‐Cultural 1) Increasing environmental awareness 2) Increasing demand aesthetically pleasing and unique products ✔ ✔ 1) Creates demand for high-­‐energy efficiency homes. 2) Increases consumer value through authenticity. Political/Legal 1) Increasing energy incentives ✔ 1) Residential Energy Property Credit (Section 1121): Increased energy tax credit for homeowners who make efficient improvements to their existing home. Technological 1) Increasing design options 2) Increasing demand for synthetic and substitute siding 3) Increasing production management technologies: Lean Production, Six Sigma.. ✔ ✔ ✔ 1) Hybrid log homes combine more creative mediums and offer flexibility. 2) Substitute products are cheap and easy to maintain. 3) Creates more efficient ways to produce sourced goods reducing waste and costs. Economic 1) Declining mortgage rates 2) Increasing lumber prices 3) Rising construction costs ✔ ✔ ✔ 1) Individuals can finance housing for less. . 2) Scarce natural sourcing prices are increasing. 3) Diverts people away from building and remodeling. GrandLogHomesFINALFINAL.indd 7 5/1/14 12:02 PM
  • 8. 8 SWOT Analysis Strengths Weaknesses Distinctive Competencies: • Differentiated product mix • Product value enhancement Core Competencies: • Research and Design: IMS technology and patent • Service and experience: 30 years of industry knowledge • Lack of production capacity • Narrow market segment Opportunities Threats • Rising level of affluence • Aging population • Increasing environmental awareness • Increasing demand for aesthetically pleasing and unique products • Increasing energy incentives • Increasing design options • Decreasing mortgage rates • Increasing urban population and decreasing rural population • Increasing demand for synthetic and substitute siding • Increasing lumber prices • Rising construction costs GrandLogHomesFINALFINAL.indd 8 5/1/14 12:02 PM
  • 9. 9 Competitive Analysis Company: Northwoods Log Homes Tagline: The Original Northwoods Tradition. Key Messages: Good quality because it’s family tradition. Positioning: Quality full log homes. Company: Pine Ridge Handcrafted Log Homes Tagline: Our Passion is Handcrafted into Your Log Home. Key Messages: Select each log by hand and rebuild at your building location. Positioning: Unique and portable homes from a small company. Company: Wisconsin Log Homes Tagline: Bringing you Home, Naturally. Key Messages: Extremely customizable homes of the highest quality. Positioning: Highest price for the highest quality (premium and authentic). GrandLogHomesFINALFINAL.indd 9 5/1/14 12:02 PM
  • 10. 10 Discovery Process Opportunity Core Competency Consumer Insights Current Equity Business Dynamics Core Strengths: Patented Log home siding researchers and engineers with 30 years of industry experience in design and service. Insights: -Log homes are high maintenance -Log homes are expensive -Log homes are inefficient Consumer Perception: -Log homebuilders. Dynamics: Cheap standardized and commercialized siding is prevailing throughout our society. On the opposite end, customized and rare materials are used for high-end siding. Opportunity: Log siding after sales service and log siding instead of traditional log home building. The resources and experience enabling them to make any building look like a log building. GrandLogHomesFINALFINAL.indd 10 5/1/14 12:02 PM
  • 11. 11 Positioning What are we really selling? An entirely new lifestyle. Who? Grand Log Homes. What? The next generation hybrid log home specialists. For whom? Technology oriented, upper class homeowners. What need? Rustic and unique looking home styles. Against whom? Log home producers and siding specialists. What’s different? Grand Log Homes provides fully customizable and technologically advanced hybrid log home products and services. So: Grand Log Homes empowers any home owner to transform their home into a log home. Grand Log Homes is able to upgrade the look of any house into an upper class log home without the lofty expenses and maintenance of traditional full log architecture. They give the customer the freedom to take their current home and transform it into their dream log home. Cheaper and more convenient than full log architecture, yet much more authentic than other log siding and wood siding products, Grand Log Homes can position themselves as the sole producer of authentic looking log homes at lower prices. GrandLogHomesFINALFINAL.indd 11 5/1/14 12:02 PM
  • 12. 12 Primary Target Market Geographic: Region: Midwest City Size: Under 10,000, 10,000- 24,999, 50,000-99,999 Metropolitan Area: Twin Ports Density: Suburban, Small Town, Rural Demographic: Gender: Female, Male as influencer. Age: 45-54, 55-64 Race: Caucasian Life Stage: Adult Birth Era: Baby boomer (1946-1964) Household Size: 2 Residence Tenure: Own home Marital Status: Married Socioeconomic: Income: $75,000-$99,999, $100,000+ Education: Undergraduate, Masters, Doctorate Occupation: Managers, Engineers, Vice President, Business Owners, and Teachers Psychographic: Personality: Gregarious, Ambitious. Values: Family, Friends, Honesty. GrandLogHomesFINALFINAL.indd 12 5/1/14 12:02 PM
  • 13. 13 Secondary Target Market Geographic: Region: Midwest City Size: Under 10,000, 10,000- 24,999, 50,000-99,999 Metropolitan Area: Twin Ports Density: Suburban, Small Town, Rural Demographic: Gender: Male Age: 45-54, 65-74 Race: Caucasian Life Stage: Adult, Senior Birth Era: Baby boomer (1946-1964), Traditional (1922-1945) Household Size: 2, 1-2 Residence Tenure: Own home Marital Status: Married, Widowed Socioeconomic: Income: $75,000-$99,999, 401K Education: Undergraduate, Masters, Doctorate Occupation: Contractor, Retirees Psychographic: Personality: Gregarious, Ambitious Values: Family, Friends, Honesty GrandLogHomesFINALFINAL.indd 13 5/1/14 12:02 PM
  • 14. 14 Brand Character Grand Log Homes is a technologically savvy and sophisticated spin on all the rudimentary characteristics of the original log home. Rustic, authentic, original, humble, cozy, serene, yet intellectual, cutting edge, and revolutionary all come to mind when you think of Grand Log Homes. GrandLogHomesFINALFINAL.indd 14 5/1/14 12:02 PM
  • 15. 15 Branding Options Grand Log Homes Grand Log Homes Grand Log Homes Grand Log Homes Grand Log Homes Grand Log Homes Grand Log Homes Grand Log Homes Grand Log Homes Grand Log Homes Suggested Colors Suggested Logos Other Logo Examples Suggested Text Grand Log Homes Bakersville Palatino C: 50 M: 69 Y: 84 K: 67 C: 15 M: 100 Y: 100 K: 75 C: 94 M: 83 Y: 48 K: 58 C: 72 M: 42 Y: 100 K: 36 C: 5 M: 5 Y: 31 K: 0 C: 32 M: 13 Y: 0 K: 0Grand Log Homes GrandLogHomesFINALFINAL.indd 15 5/1/14 12:02 PM
  • 16. 16 Key Message What? Hybrid log home company. How? 60 + years of log home experience. IMS design philosophy. Grand Log siding patent. 150+ successful previous installations. Why? Our mission is to deliver the look and feel of a handcrafted log home without the price tag. We believe in making our vision of the perfect log home into your reality. We want to make our passion of constructing the best log home possible into your dream home. Possible Taglines: Grand Log Homes, we can turn any home, into a Log Home. Turn any home into a log home with, Grand Log Homes. Grand Log Homes, live in your dream getaway, everyday. Why? How? What? GrandLogHomesFINALFINAL.indd 16 5/1/14 12:02 PM
  • 17. 17 Our Story We have fond memories of bolting out of dad’s car in the early 60’s as proud, pint-sized members of his sacred annual fishing trip to Bowstring Lake in Itasca County, Minnesota. It was the very first time we had ever seen a log structure, and it was love at first sight. Over time, we kept thinking that there must be a more environmentally-correct way to build a log home. That burning desire came to fruition in 1993, when we patented the world’s first veneered foam-core (VFC) log siding product. In 2003, after completing more than 150 successful North American VFC Log installations, disaster struck. This disaster cost us our company and shattered our future expectations. But through disaster came opportunity and we were driven to change the industry once again. In 2013, after years of research and design, we created the Grand Log. This innovative new product, along with our IMS (Integrated Massive Scale) design philosophy, are the backbone of our new company, Grand Log Homes. GrandLogHomesFINALFINAL.indd 17 5/1/14 12:02 PM
  • 18. 18 Owned Marketing: Website How? -Must be web, mobile, and tablet com-patible. -Tell your story in a narrative, as a video on the home page. -Simple scrolling interface for less click-ing. -Use the 7 plus or minus 2 two rule: “The Magical Number Seven, Plus or Minus Two: Some Limits on Our Capac-ity for Processing Information” is one of the most highly cited papers in psychol-ogy. -Outsource web design to professionals. Why? Educate the public. It will be the “hub” for people seeking information and the primary place to lead potential buyers. An attractive website keeps the consum-er’s attention and a well designed page makes it easy for the consumer to contact the company. Andersen Windows is a great example of a company that does new home installation as well as remod-eling and has great web design. GrandLogHomesFINALFINAL.indd 18 5/1/14 12:02 PM
  • 19. 19 Owned Marketing: Facebook Why? 80% of US social network users prefer to connect with brands through Facebook. Facebook Demographics: 845 million active users 57% female 46% are age 45+ 81% have some college education or more 58% have individual income of $50,000-$100,000+ How to be effective? Tell your story! Schedule your weekly updates. Use Facebook Insights to discover audience trends. Think outside the box through Facebook contests. Use images and video for your content updates. Don’t sell, interact and educate about product and services. Engage with your Facebook community. Engage with other Facebook pages. Post influencers content. Use the @ feature to tag fans or customers for personal touch. GrandLogHomesFINALFINAL.indd 19 5/1/14 12:02 PM
  • 20. 20 Earned Marketing: HTF How? Earn a story in Hometown Focus by talking to: Jean Cole, Editor, at jeanc@hometownfocus.us Jeff Asbach, CEO and Co-founder, at jeffa@hometownfocus.us Why? They are the first community driven website and publication in the state of Minnesota and are the winners of the 2009 Joel Labovitz Entrepreneurial Vision Award. This grassroots magazine will lead to over 150,000 impressions per week from viewers and readers located directly in the heart of the Iron Range. It has 500 distribution outlets including gas stations, grocery stores, local businesses and an abundance of other high traffic areas along Highway 53, Highway 169, and other central routes for tourists, cabin goers, and locals whom enjoy the outdoors. GrandLogHomesFINALFINAL.indd 20 5/1/14 12:02 PM
  • 21. 21 Earned Marketing: Guerilla Marketing Facebook 1. Use Your Imagination. Guerilla marketing is about the unconventional. 2. Go Big or Go Home. Big doesn’t have to mean expensive – be memorable to get people talking. 3. Let Your Audience Do the Talking. Authentic word-of-mouth is the best form of publicity. Devise your plan, carry it out and then step back and let your audience do the rest of the work. Proposal: Construct a large scale dog house with all aspects of IMS and Grand Log siding to highlight Grand Log Homes product and services of turning any home into a log home. Take a picture with a dog in it and another with a mans legs sticking out. The picture of the dog in the Grand Log dog home is to appeal to our target market of female baby boomers. The other is to appeal to the male influencers. “If you get put in the dog house at least you’ll be warm!” is a suggested subheading. The two pictures will have the tag line of “Turn any home, into a log home!” and contest details in the post saying like, share, and comment for your chance to win Grand Log Home’s hybrid log dog home. Why? Through primary and secondary research we found that family was one of the most important aspects of log home consumers lives. In 2011 national survey, 63.2%, considered their pets to be family members. There are approximately 70 million pet dogs in the U.S. and 56.7 million households own a dog. This idea will create internet buzz with a large demographic segment leading to more awareness. GrandLogHomesFINALFINAL.indd 21 5/1/14 12:02 PM
  • 22. 22 Paid Marketing: Guerilla Marketing Flyers Turn ANY home, into a log home! | www.grandloghomes.com GrandLogBrochure.indd 1 4/25/14 3:24 PM Guerilla Strategy Placement: UMD Canal Park Hampton Inn Canal Park Inn Duluth Pack I Love Duluth Store DeWitt Seitz Building Lake Avenue Cafe Vertical Endeavors Fitgers Complex Trail Fitters Park Point Marina Inn Barkers Island Marina Lakehead Boat Basin Spirit Lake Marina Harbor Cove Marina North Shore Docks & Lifts We also recommend other places in Northern Minnesota that attract affluent baby boomers within our target segment. Why? 3.5 million tourist travel through Duluth each year, mainly in the summer. Canal Park is one of the most visited places. GrandLogHomesFINALFINAL.indd 22 5/1/14 12:02 PM
  • 23. 23 QR Reader Reduce Lead time by integrating QR Readers on all flyers and print advertising. These easy to create symbols allow mobile consumers to scan and directly go to the Grand Log Homes website. These should be put on all print advertisements. GrandLogHomesFINALFINAL.indd 23 5/1/14 12:02 PM
  • 24. 24 Paid Marketing: Google Paid Search Why? 60% of all organic clicks go to the top three organic search results. Google Search is the most used search engine on the World Wide Web, handling more than three billion searches each day. Get in the local listings on Google (this is free) because 71% of all online searches are related to local businesses. Google AdWords: Google AdWords is a pay per click advertising that increases website visibility through the Google’s search engine. Use sample keywords such as: Log Homes, half log siding, cabins and new homes. Tool/Measure: Google analytics will help the company keep track of their online presence. With this tool they can track many aspects of their business from how many people are on their google page, to finding what keywords are attracting people to your site. Also this tool is completely free as long as your website does not generate more than 10 million hits per month. You! Your Competition! GrandLogHomesFINALFINAL.indd 24 5/1/14 12:02 PM
  • 25. 25 Paid Marketing: WDIO Sponsored advertising during the Sunday night weather is a great way to reach the target audience. Sponsored advertising includes a billboard with the client’s sell line and logo, followed by a :30 commercial unit. Each commercial is estimated to reach 20,000 viewers. In the wretched drawn out late winter months and early spring months, consumers will be eagerly awaiting forecasts wishing they were in a Grand Log Home. GrandLogHomesFINALFINAL.indd 25 5/1/14 12:02 PM
  • 26. 26 Paid Marketing: HTF Ads How? Tylor Asbach, Creative Sales & Service, at tylora@hometownfocus.us Why? Consistent impressions in the local mediums such as HTF will lead to recognition amount people who care and support local business. This medium also allows for expansion into multi media marketing. GrandLogHomesFINALFINAL.indd 26 5/1/14 12:02 PM
  • 27. 27 Paid Marketing: Marketing Intern Why? A marketing intern can help with all aspects of social media, public relations, and marketing in general. Requirements: 200 hours Paid, recommended $10-$15/hr. Official placement agreement How? Duane Cass, Intern Director, dkaas@d.umn.edu UMD’s GoldPASS, goldpass.umn.edu GrandLogHomesFINALFINAL.indd 27 5/1/14 12:02 PM
  • 28. 28 Paid Marketing: Videography Hunter Gulan Why? Graphic Design and Marketing student at UMD. Owner and photographer of H. Emerson Galleries. Earned a competitive film and editing internship at YoBeat which is one of the snowboarding industry’s largest sites. Originally from the Iron Range, he produces world class commercials and films at a fraction of the price. Portfolios: http://www.emersongalleries.com/ http://vimeo.com/hemersonimagery Contact: (218)-404-0282 gula0024@d.umn.edu GrandLogHomesFINALFINAL.indd 28 5/1/14 12:02 PM
  • 29. 29 Paid Marketing: Graphic Design Dusty Fore Why? Graphic Design student at UMD. Owner, designer, and operator of Oscar Grizzi clothing. Does professional branding, logo design, flyers, brochures for a fraction of the cost. Portfolio http://oscargrizzi.com/ Contact: (320)-336-9135 forex015@d.umn.edu GrandLogHomesFINALFINAL.indd 29 5/1/14 12:02 PM
  • 30. 30 Awareness Create Intrigue Seek Information Become a Lead Purchase Affirmation Decision Continuum Awareness: This is a major focus of our communication plan for Grand Log Homes. In order for people to ever want to purchase the product, they need to first know it exists. We plan to do this by advertising with WDIO, Hometown Focus magazine, flyers, and Facebook. Create Intrigue: After people become aware of Grand Log Homes, they need to be intrigued to learn more about the company. We will create this intrigue by using videography, log home doghouse giveaways on Facebook, and professional graphics. Seek Information: The intrigue will cause consumers to seek out additional Information about Grand Log Homes. The Grand Log Homes website will be the ‘hub’ for information and we recommend Google AdWords, search engine optimization, and QR code readers to make finding the website quick and easy as possible. Become a Lead: This step is where consumers are starting to interact with Grand Log Homes. With encouragement to interact on the Grand Log Homes website, people will start contacting by emailing, phone, or Facebook. Purchase: This is where the consumer will make the purchase from Grand Log Homes. Buyers reach this stage if the previous four stages have been successfully accomplished. Affirmation: We want customers to pay for the Grand Log Homes after sale service and to feel good about their purchase. We recommend encouraging customers to share photos of their newly built log homes on the Grand Log Homes Facebook page and to stay in contact with the customers. GrandLogHomesFINALFINAL.indd 30 5/1/14 12:02 PM
  • 31. 31 Timeline January February March April May June July August Sept. Oct. Dec. Nov. Website Facebook HTF Ad HTF Story WDIO Intern Ad Words Creative Design Flyers Videography Dog Houses GrandLogHomesFINALFINAL.indd 31 5/1/14 12:02 PM
  • 32. 32 Budget Website $20,000 Doghouses $2,000 Google AdWords $7,500 Flyers $2,000 HTF Ad $12,760 Videography $3,500 Creative Design $3,500 Intern $4,000 WDIO $6,825 Total Marketing Expense $62,085 Remaining $1,915 The remaining portion of the budget is a flexible buffer to allow allocation to the most effective marketing medium. WDIO Intern Creative Design Videography HTF Ad Flyers Google AdWords Doghouses Website GrandLogHomesFINALFINAL.indd 32 5/1/14 12:02 PM
  • 33. 33 Measurement/Evaluation Website $20,000 Doghouses $2,000 Google AdWords $7,500 Flyers $2,000 HTF Ad $12,760 Videography $3,500 Creative Design $3,500 Intern $4,000 WDIO $6,825 Total Marketing Expense $62,085 Remaining $1,915 Doghouses 10,000 Likes x100 Views/Like = 100,000 Flyers 2,000 Flyers x 100 Views/Flyer = 200,000 HTF Ad 26 Weeks Ads x 8,100 Copies = 210,600 WDIO 13 Weeks Ads x 20,000 Views/Ad= 260,000 Total Impressions = 770,600 Total Marketing Expense/Estimates Impressions= $62,085/770,600= $0.080567091/Impression Google Analytics: will be the main tool of measuring Google search and finding what keywords are attracting people to your site. Facebook Insights: will let you know what is the best time to post, what is working in your posts, amongst other valuable information. Unique IP address to Grand Log Homes: will be the main way of tracking overall marketing effectiveness since this is the primary means of becoming a lead. GrandLogHomesFINALFINAL.indd 33 5/1/14 12:02 PM
  • 34. 34 Bibliography “10 Really Effective Facebook Marketing Strategies - GreenMellen Media.” GreenMellen Media. N.p., n.d. Web. 29 Apr. 2014. “10 Steps - How to Use Google Analytics | OnlineMetrics.” OnlineMetrics. N.p., n.d. Web. 30 Apr. 2014. “10 Surprising Social Media Statistics That Might Make You Rethink Your Social Strategy - - The Buffer Blog.” Buffer Blog. N.p., n.d. Web. 28 Apr. 2014. “14 Effective Facebook Marketing Strategies for Businesses.” North Social Media. N.p., n.d. Web. 29 Apr. 2014. “16 Social Media Marketing Tips From the Pros |.” Social Media Examiner RSS. N.p., n.d. Web. 29 Apr. 2014. “2004 Log Home Production & Construction Report Representative of 2003 Results Conducted by the Log Home Living Institute.” N.p., n.d. Web. 21 Apr. 2014. “About Duluth.” Duluth Facts VisitDuluth.com ::. N.p., n.d. Web. 30 Apr. 2014. “About Us | Www.hometownfocus.us | Hometown Focus - Virginia, Minnesota.” About Us | Www.hometownfocus.us | Hometown Focus - Virginia, Minnesota. N.p., n.d. Web. 30 Apr. 2014. “Acorn Millwork, Inc.” Acorn Millwork. N.p., n.d. Web. 29 Apr. 2014. “Advantages and Disadvantages of Log Home Living - Home Improvement | Home Improvements.” Home Improvement Home Improvements RSS. N.p., n.d. Web. 29 Apr. 2014. “All The Marketing Statistics You Need.” HubSPot. N.p., n.d. Web. 30 Apr. 2014. Ap. “Average 30-year Mortgage Rate Falls to 4.32%.” USA Today. Gannett, 20 Mar. 2014. Web. 29 Apr. 2014. “Average US Rate on 30-year Mortgage Falls to 4.28 Pct; 15-year Loan down to 3.32 Pct.” Fox News. FOX News Network, 06 GrandLogHomesFINALFINAL.indd 34 5/1/14 12:02 PM
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